Daimler’s production interrupted in Europe due to Coronavirus

Daimler wants to stop production by the end of the week, but it isn’t clear whether the Mercedes-Benz plant in Sindelfingen is also affected.

Due to the worsening COVID-19 pandemic, Daimler decided today to interrupt most of its production and work in selected administrative areas in Europe for at least two weeks. The Group announces this in a press release.

The group follows the recommendations of international, national and local authorities. The interruption affects the company’s European car, van and commercial vehicle factories and starts this week. The Group has not yet made a statement on individual locations. Whether Sindelfingen will be affected by this should be decided by the end of this week. The first plants will shut down on Wednesday. A Daimler spokeswoman said that the extent of the production stops should be known by Monday at the latest.

This involves reviewing the global supply chains, which cannot currently be fully maintained. An extension of these measures depends on the further development. Wherever operations need to be maintained, the company will take appropriate precautions to protect employees from infection.

With these measures, the company is doing its part to protect the workforce, break the chain of infection and curb the spread of this pandemic. At the same time, this decision helps to prepare Daimler for a period of temporarily lower demand and to secure the company’s financial strength.

In view of the current spread of Covid-19, the economic effects on Daimler cannot currently be adequately determined or reliably quantified.

Daimler management is constantly monitoring the situation and will take further measures if necessary. If the situation eases, operation will resume completely.